THE PERAKAM SERVICE CO-OPERATIVE BANL LTD NO.F 6916 V. THE COMMISSIONER OF INCOME TAX (APPELAS)

WP(C)/1761/2022

AI Insights

The case involves the Perakam Service Co-operative Bank Ltd, which is a Primary Agricultural Credit Society, challenging the rejection of its claim for deduction under Section 80P of the Income Tax Act in the assessment years 2008-2009 and 2010-2011. The assessments were contested on the grounds that the bank did not meet the criteria of a Primary Agricultural Credit Society as per the Co-operative Societies Act. The petitioner argued that the assessing officer failed to consider a relevant Supreme Court judgment in Mavilayi Service Cooperative Bank and Others v. Commissioner of Income Tax, Calicut and Others, which was delivered prior to the assessment orders. The High Court, acknowledging the pending appeals and stay petitions before the Appellate Authority, directed a timely resolution of these matters and stayed any coercive actions based on the disputed assessment orders.

• Counselvise Citation: [2022] 140 COUNSELVISE.COM (IT) 764220 (HC-KERALA)
• Appeal Type: Others
• Pronouncement Date: 18-01-2022
• Assessment Year: misc
• Other Referred Cases: Mavilayi Service Cooperative Bank and Others v. Commissioner of Income Tax, Calicut and Others [2021 (1) KLT 485]
• Laws Referred To: Kerala Co-operative Societies Act, 1969, Section 80P
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: JOSE JOSEPH
• Assessee Lawyers: P C SASIDHARAN
• Keywords: Appeal; Assessment Order; Deduction; Income Tax; Primary Agricultural Credit Society; Stay Petition
• Section: 80P

Judgement Text

"IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE MOHAMMED NIAS C.P. TUESDAY, THE 18TH DAY OF JANUARY 2022 / 28TH POUSHA, 1943 WP(C) NO. 1761 OF 2022 PETITIONER : THE PERAKAM SERVICE CO-OPERATIVE BANL LTD NO.F 6916, CHAVAKKAD, PERAKAM P.O., THRISSUR-680 506, REPRESENTED BY ITS SECRETARY BY ADV P.C.SASIDHARAN RESPONDENTS : 1 THE COMMISSIONER OF INCOME TAX (APPELAS), NATIONAL FACELESS APPEAL CENTRE, ROOM NO.356, C.R.BUILDING, IP ESTATE, DELHI-110 002. 2 THE PRINCIPAL COMMISSIONER OF INCOME TAX, O/O. THE PRINCIPAL COMMISSIONER OF INCOME TAX, AYAKAR BHAVAN, MANANCHIRA, KOZHIKODE,KERALA-673 001. 3 THE INCOME TAX OFFICER, WARD 2 (1), IIND FLOOR, CITY PLAZA, WEST NADA, GURUVAYUR-680 101. SC: JOSE JOSEPH THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 18.01.2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: W.P(C) No.1761 of 2022 2 MOHAMMED NIAS C.P, J. ------------------------------------------------ W.P(C) No.1761 of 2022 ---------------------------------------------------- Dated this the 18th day of January, 2022. J U D G M E N T Petitioner is a Primary Agricultural Credit Society registered under the Kerala Co-operative Societies Act, 1969. Ext.P1 and Ext.P8 orders of assessment, relating to the assessment years 2008-2009 & 2010-2011, were issued against the petitioner on 12.09.2021. In the assessment orders, petitioner's claim for deduction under Section 80P was rejected on the ground that there was no evidence to show that petitioner satisfied the ingredients of the Primary Agricultural Credit Society as contemplated under the Co-operative Societies Act. 2. While assailing the assessment orders before the 1st respondent, petitioner has sought to canvass that the judgment W.P(C) No.1761 of 2022 3 of the Supreme Court in Mavilayi Service Cooperative Bank and Others v. Commissioner of Income Tax, Calicut and Others [2021 (1) KLT 485] was not considered by the assessing officer, though the assessment orders were rendered subsequent to the Supreme Court Judgment. 3. Since the petitioner has already preferred appeals as Ext.P3 & Ext.P10 and the same are pending consideration before the 1st respondent, I deem it fit that this writ petition be disposed of directing the Appellate Authority to consider the appeals or the stay petitions in a time bound manner. 4. Accordingly, there will be a direction to the 1st respondent to consider and pass appropriate orders either on Ext.P3, & Ext.P10, or the stay petitions Ext.P5, P7, P12 & P14 as expeditiously as possible. 5. Till the disposal of either the appeals or the stay petitions mentioned above, no coercive steps shall be initiated against the petitioner, pursuant to Ext.P1 & Ext.P8 assessment orders. W.P(C) No.1761 of 2022 4 The writ petition is disposed of as above. Sd/- MOHAMMED NIAS C.P, JUDGE amk W.P(C) No.1761 of 2022 5 APPENDIX OF WP(C) 1761/2022 PETITIONER'S EXHIBITS : Exhibit P1 TRUE COPY OF THE ASSESSMENT ORDER FOR THE ASSESSMENT YEAR 2008-2009 DATED 12.09.2021 Exhibit P2 TRUE COPY OF THE DEMAND NOTICE OF THE ASSESSMENT YEAR 2008-2009 DATED 12.09.2021 Exhibit P3 TRUE COPY OF THE APPEAL DATED 12.10.2021 AGAINST THE ASSESSMENT ORDER IN THE YEAR 2008-2009 Exhibit P4 TRUE COPY OF THE ACKNOWLEDGMENT OF RECEIPT OF FORM SHOWING THE DATE OF FILING THE APPEAL AGAINST THE ASSESSMENT ORDER IN THE YEAR 2008-2008 AS 12.10.2021 Exhibit P5 TRUE COPY OF THE STAY PETITION DATED 5.11.2021 SEEKING STAY OF THE DEMAND MADE UNDER EXT P2 Exhibit P6 TRUE COPY OF THE ORDER DATED 17.12.2021 ISSUED BY THE 3RD RESPONDENT Exhibit P7 TRUE COPY OF THE STAY PETITION DATED 03.01.2022 AGAINST EXT P6 DEMAND Exhibit P8 TRUE COPY OF THE ASSESSMENT ORDER FOR THE ASSESSMENT YEAR 2010-2011 DATED 12.09.2021 Exhibit P9 TRUE COPY OF THE DEMAND NOTICE DATED 12.09.2021 AGAINST THE ASSESSMENT ORDER IN THE YEAR 2010-2011 Exhibit P10 TRUE COPY OF THE APPEAL DATED 12.10.2021 AGAINST THE ASSESSMENT ORDER IN THE YEAR 2010-2011 W.P(C) No.1761 of 2022 6 Exhibit P11 TRUE COPY OF THE ACKNOWLEDGMENT OF RECEIPT OF FORM SHOWING THE DATE OF FILING APPEAL AS 12.10.2021 AGAINST THE ASSESSMENT ORDER IN THE YEAR 2010-2011 Exhibit P12 TRUE COPY OF THE STAY PETITION DATED 5.11.2021 SEEKING STAY OF THE DEMAND MADE UNDER EXT P9 Exhibit P13 TRUE COPY OF THE ORDER ISSUED BY THE 3RD RESPONDENT DATED 17.12.2021 Exhibit P14 TRUE COPY OF THE STAY PETITION DATED 03.01.2022 AGAINST EXT P13 DEMAND Exhibit P15 TRUE COPY OF THE JUDGMENT IN WPC NO.14282/2021 DATED 19.07.2021 Exhibit P16 TRUE COPY OF THE JUDGMENT IN WPC NO.26935/2021 DATED 30.11.2021 "